25.09.2015 - We expect the drop of oil after consolidation
The price of Light Sweet crude oil has adjusted upwards within the range of 44-47 dollars per barrel around which is consolidating for almost a month. Long-term consolidation according to our forecasts will end with a strong price movement. On the one hand, analysts predict decline in production in the US, but now the demand for petroleum products also declined due to seasonal factors. On the other hand, Iran in the future will increase the supply of oil to the market at which oversupply currently is about 2.5 million barrels a day. These factors, together with the expected strengthening of the dollar and slowing growth in China will continue to put pressure on oil prices in the near future and in the medium term.